LATEST REPORT
June 3, 2024 UPDATED: WGBC BOARD GOVERNANCE REVIEW, BC WINE INDUSTRY SUPPORT & AGLC BC WINE EMBARGO
UPDATE: WGBC BOARD GOVERNANCE REVIEW TASK GROUP
Following a thorough RFP process, the WGBC Task Group has selected Watson Advisors Inc. as the independent third-party consultant to assist in making governance recommendations to the WGBC Board. The Watson Advisor engagement includes direct member engagement (i.e., surveys, town halls, interviews, etc.) including, but is not limited to, specific concerns raised by members regarding board size and composition, board/CEO accountability, communications to members and transparency.
The current timeline includes having the Task Group final report and recommendations for WGBC Board approval in time to bring forward any required bylaw changes for WGBC AGM scheduled for September 18, 2024.
Task Group members include:
WGBC Board
1. Sheila Whittaker, Nostalgia Wines
2. Paul Sawler, Dirty Laundry Vineyard (Chair)
3. Sam Collins, Iconic Wineries of BC
4. Al Hudec, Farris LLP (Independent director)
WGBC Members-at-Large
5. Lauren Skinner Buksevics, Painted Rock Estate Winery
6. Chris Wyse, Burrowing Owl Estate Winery
7. Michael Bartier, Bartier Bros. Vineyard & Winery
8. Ron Kubek, Lightning Rock Winery
9. Jim D’Andrea, Noble Ridge Vineyards & Winery
10. Charlie Baessler, Corcelettes Estate Winery
WGBC Staff
Lindsay Kelm, Acting Communications Director
If you have any questions about the RFP process or the Board Governance Review, please contact Lindsay Kelm at lkelm@winebc.com.
UPDATE: BC WINE INDUSTRY SUPPORT & AGLC BC WINE EMBARGO
Last week WGBC hosted a VIP reception at Kismet Estate Winery for Premier David Eby and MLA Roly Russell. The primary purpose of the reception was to thank the Premier, his government and Roly Russell for their continued support of the BC wine industry including the recently announced Enhanced Replant Program and regulatory changes to allow flexibility to deliver the tailored visitor experience.
It was also an opportunity to ask the Premier for an update on our April 18th presentation to Minister Farnworth & staff regarding BC Wine Industry Resiliency Support and the AGLC BC wine embargo.
Regarding resiliency support, specifically the temporary extension of markup concession and BC VQA rebate to non-BC wine, the Premier indicated a decision based on our submission would be made ‘soon’. He acknowledged the need for wineries to know ASAP and that his preference was to do so in advance of the bureaucracy working out the details.
Regarding the AGLC embargo, the Premier said he had brought the issue up directly with Alberta Premier Smith, and both agreed to find a resolution as soon as practically possible. In the meantime, WGBC has followed up directly with AB Minister responsible Dale Nally with a letter reiterating our solution presented earlier.
WGBC will continue to follow up on both of these outstanding issues to ensure they are resolved ASAP.
May 21, 2024 UPDATE: OPERATIONAL PLAN, ENHANCED REPLANT, WGBC ON THE HILL
WGBC FISCAL 2025 ADVOCACY, COMMUNICATIONS, AND MARKETING OPERATIONAL PLAN
Wine Growers British Columbia is pleased to share our Fiscal 2025 Operational Plan. This year, the plan is focused on five key Board-approved objectives:
Objective 1 – Build a world-class brand for Wines of British Columbia
Objective 2 – Position BC as a premier wine region with trade
Objective 3 – Make BC wine country a benchmark for wine tourism
Objective 4 – Strengthen wine industry leadership
Objective 5 – Leverage government advocacy efforts
Amidst the trials faced by the BC wine industry over the past years, including wildfires, deep freezes, tourism bans, etc., advocacy and tourism have been set as priority focuses for this fiscal year.
On the advocacy front, our work focuses on collaborative efforts to support wineries and growers during this challenging time to keep the BC wine industry viable and minimize financial and employment impact for BC wineries and vineyards. We are coordinating efforts with both provincial and federal industry stakeholder groups and organizations to present a united front for the BC wine industry to secure operating options with the regulatory and financial support needed.
We also know that, with the challenges presented over the past several years, there is a pressing need to prioritize tourism as a key focus moving forward. The Fiscal 2025 Operational Plan will feature BC wine tourism as a cornerstone for the marketing efforts of Wine Growers BC with 69% of the total marketing budget earmarked for enhancing BC Wine Tourism.
–
UPDATE: ENHANCED REPLANT PROGRAM
In March of 2024, The Ministry of Agriculture and Food announced a new Enhanced Replant Program that will provide as much as $70 million in support to help wine grape, berry, and tree fruit producers replace damaged, diseased, and low-producing vines, plants and trees with climate-resilient varieties that produce in-demand, premium fruit.
WGBC is working with the other grape wine industry associations and the Ministry to develop planting guidelines with the goal of launching the Program Guide and Planting Guidelines in time for a September 2024 launch, including:
- BC Grapegrowers’ Association: Felix Egerer, Tyrion Miskell, Sue de Charmoy
- Sustainable Winegrowing BC: Severine Pinte, Ruth King
- British Columbia Wine Grape Council: Ross Wise, Kate Durisek, Carl Van der Merwe
- BCWA | Wine Industry Advisory Committee: Galen Barnhardt
- Wine Islands Growers Association: Zac Brown, Yonadav Anbar
- Wine Growers BC: John Bayley, Sebastian Farms, Chris Holler, Poplar Grove Winery, Miles Prodan
Please visit the program webpage for more information: Enhanced Replant Program – Province of British Columbia (gov.bc.ca)
–
WINE GROWERS BC ON THE HILL
On May 7, Wine Growers BC joined Wine Growers Canada hosted meetings on Parliament Hill with Members of Parliament and senior decision-makers from Agriculture and Agri-Food Canada. This provided the opportunity to, first and foremost, thank officials and MPs for their support, resulting in the 3-year $177-million Wine Sector Support Program, which will benefit wineries across the country. Presenting our industry’s economic footprint, discussions focused on the need to establish a Federal Wine Strategy Roundtable, involving officials from relevant departments with the goal of identifying regulatory, R&D, legislative and tax changes that would help grow the Canadian wine industry and help us better adapt to our changing climate. WGBC raised the need for federally supported Business Risk Management programs (i.e., AgriStability, AgriRecovery, etc.) to include bulk and bottled wine in any coverage.
May 3, 2024 UPDATE: WGBC GOVERNANCE REVIEW TASK GROUP
Following the April 23, 2024 announcement of the establishment and funding of a WGBC Board Governance Review Task Group, we would like to thank those who expressed interest in participating and confirm the following members:
WGBC Board
- Sheila Whittaker, Nostalgia Wines
- Paul Sawler, Dirty Laundry Vineyards(Chair)
- Sam Collins, Iconic Wineries of BC
- Independent: Al Hudec
At-Large
- Lauren Skinner Buksevics, Painted Rock Estate Winery
- Chris Wyse, Burrowing Owl Estate Winery
- Michael Bartier, Bartier Bros.
- Ron Kubek, Lightning Rock Vineyards
- Jim D’Andrea, Noble Ridge Vineyards & Winery
- Charlie Baessler, Corcelettes Estate Winery
WGBC Staff
Lindsay Kelm, Acting Communications Director
WGBC Staff
Lindsay Kelm, Acting Communications Director
While other members have expressed an interest in participating, approval of any additions will be the responsibility of the task group through updates to the terms of reference. In consultation with a 3rd-party consultant, the Governance Review will include, but is not limited to, the following areas:
- Specific concerns raised by members regarding board size and composition, board/CEO accountability, communications to members and transparency.
- Review current board policies, procedures and governance structure using best practices.
- Roles, responsibilities, and authority: clarify roles and responsibilities of the WGBC board, board and management committees, task groups, task forces, town halls, member-led initiatives and others, as needed. Identify best practices of each position’s authority, leadership and staff authority, and level at which different types of decisions should be made.
- Key Performance Indicators (KPIs): Recommend how the KPIs fit within the governance framework and advise how to implement the Board’s KPIs.
- Best practices for coordinating and avoiding duplication of effort other industry associations including the BC Wine Grape Council, BC Grapegrowers’ Association and BC Wine Authority.
- Board of Directors eligibility, skills and competencies.
The current timeline includes having a final report and recommendations for WGBC Board approval in time to bring forward any required bylaw changes for WGBC AGM scheduled for September 18, 2024.
If you have any questions regarding the WGBC Board Governance Task Group, please contact Lindsay Kelm at lkelm@winebc.com.nt goes here
April 19, 2024 SAVE-ON-FOODS TOWN HALL SESSION
TOWN HALL SESSION: PATTISON FOOD GROUP (AKA SAVE-ON-FOODS) BC WINE STORES
Following the WGBC Board’s conclusion to allow restricted sales of non-BC wine through the Save-On-Foods (SOF) operated wine stores, there have been a number of questions regarding the decision and future of the channel.
As reported earlier, the decision was the result of consultation & negotiations with SOF and the declining viability of the high-value channel, generating over $20 million in wholesale sales for members annually.
Board members were faced with limited options and the very real threat of losing the licenses. After an intense number of meetings, the Board determined that allowing a limited amount of non-BC wine under specific guardrails was the best solution for the industry. While some may believe this was the wrong decision, it is important to understand all the facts and context the Board faced. It is also important to understand that, when the decision was made, there existed no potential alternative for these licenses.
As a result, and in an effort for openness and transparency, WGBC is hosting a Town Hall with Steve Moriarty, Director of Wine, Pattison Food Group (PFG) so members can learn firsthand the retail challenges happening in the marketplace, the rationale behind PFG’s request for limited non-BC wine, their continued commitment to 100% BC and plans and timing going forward. Steve will also outline what the layout of these spaces will look like as they change them from store-to-store.
Registration is not required, however, if you are unable to attend and would like to share any ideas in advance of the sessions, please feel free to contact Lindsay Kelm (lkelm@winebc.com) or Miles Prodan ( mprodan@winebc.com).
We are also working on a virtual option; however, if you are local to the Okanagan, we recommend you attend in person. You do not need to be a WGBC member to attend, however, we would like to keep this discussion to those in the grape/wine industry only at this time.
Thursday, April 25, 2024
1:00 PM to 3:00 PM
Penticton Convention Centre, Meeting Rooms 1 & 2
March 15, 2024 - ADVOCACY WIN: REPLANT FUNDING & WINERY EXPERIENCE SUPPORT
March 15, 2024
ADVOCACY WIN: REPLANT FUNDING & WINERY EXPERIENCE SUPPORT
At the recent BC Wine Industry Insight Conference, Premier Eby and Agriculture and Food Minister Alexis announced $70 million for a new enhanced replant program. Along with cherries, tree fruit and berries, BC grape growers will receive support to replant climate-change-damaged vineyards to make them more resilient which is confirmation of this government’s commitment to resiliency support the B.C. wine industry.
Government staff will work with the industry to develop planting guidelines to help growers make replant choices based on the best available agronomic science to ensure they can handle extreme weather events. Application information will be made available as soon as the guidelines are established.
Boundary, South Okanagan MLA and Parliamentary Secretary for Rural Development Roly Russell also announced the Province is working to implement a suite of policy changes to enhance the winery visitor experiences in time for the summer season to support tourism that include:
Supporting better guided-tour experiences that allow people to sit and enjoy a glass of wine while on a tour;
Allowing sales in more places on site, including on tours;
Allowing more flexibility around sampling so manufacturers can customize sampling experiences; and
Allowing manufacturers to sell their product in picnic areas and host people more effectively throughout the property
Wine Growers British Columbia, in partnership with the BC Wine Grape Council, BC Wine Authority, and BC Grapegrowers’ Association hosted the 6th Annual BC Wine Industry Insight Conference to a sold-out crowd of 250 in Penticton on March 13th. Themed Resilience and Renewal: Crafting the Future of BC Wine Together, the conference captured the momentum behind collaboration in the BC wine industry and the shared goal of a sustainable and profitable future. Thank you to everyone who attended and we look forward to future networking and learning opportunities together.
February 27, 2024 - UPDATE: BC WINE INDUSTRY TOWNHALL SESSIONS
February 27, 2024
UPDATE: BC WINE INDUSTRY TOWNHALL SESSIONS
Last week WGBC organized town halls inviting industry stakeholders to discuss the recent adverse climate events (sustained periods of extreme cold) in December 2022 and January 2024, and resulting crop loss. Over 250 attended the town halls held in Kelowna and Penticton (February 21) as well as Osoyoos (February 22) with Mark Hicken facilitating feedback and input on potential mitigating options for assistance from government.
There was active discussion with consensus for the following:
- Support the ability for BC wineries to import grapes, juice or wine from outside of BC
- Support regulatory changes to suspend ALC rules related to wine production and ancillary activities on ALR land
- Support regulatory changes such that all BC wineries be eligible for temporary markup exemptions (subject to some form of limit to prevent abuse) on non-BC wine
- Support changes to ensure BC producer shelf space in BCLS, wine stores etc. for non-BC wines
In addition to unanimous agreement the BC VQA certification remain based on 100% BC grapes, other topics included truth in labelling as critically important, efforts to help customers understanding of the non-BC substitute products, and ensuring support for BC independent grape growers.
Based on the townhall discussions, direct stakeholder feedback, etc., WGBC is developing a prioritized catalog of immediate government support for advocacy committee feedback and board approval prior to briefing government over the next two weeks.
WATCH PENTICTON TOWNHALL RECORDING
_______________________________________________________________________________________________________
UPDATE: BC MINISTRY OF AGRICULTURE AND FOOD
Monday, February 26, 2024 – WGBC along with industry representatives from the BC Wine Grape Council and BC Grapegrowers’ Association met with senior ministry officials. The discussion included an update of current Business Risk Management (BRM) program participation (i.e., AgriInsurance, AgriStability and AgriRecovery) as well as possible additional supports including a dedicated grape wine replant program. With a lack of full industry uptake of the current BRM suite of programs the group agreed to work together on industry outreach and education.
Along with the addition of five new inspectors and a communications specialist, the Ministry reported ongoing discussion with the federal government specifically providing AgriStability coverage to wineries based on their wine revenue.
_______________________________________________________________________________________________________
UPDATE: AGLC ACTION
The AGLC continues to block imports of BC wines from BC wineries it claims are in contravention of an unspecified restriction on direct-to-consumer (DTC) shipments by BC wineries.
Lead to believe the issue is about the collection of AGLC liquor taxes on direct-to-consumer shipments by BC wineries to persons in Alberta and working in conjunction with the Ministry of Public Safety and Solicitor General (PSSG), WGBC has again proposed a simple solution to protect the integrity of the Alberta alcohol marketplace, provide for the collection of tax revenues and remove the AGLC blockage and are awaiting a response.
_______________________________________________________________________________________________________
UPDATE: PROVINCIAL BUDGET 2024
Thursday, February 22, 2024 – the BC government announced it’s 2024 budget that included more than $6 billion in spending. While the wine grape industry was not specifically identified, the budget included $405 million over the next four years to prepare for and respond to climate-related disasters ranging from wildfire prevention to damage to crops that Premier Eby confirmed in a post budget Canadian Press interview, ” …disasters like that impacting our agriculture sector, floods, forest fires, are examples of these foreseeable but unpredictable costs that can arise during the year, which is what the contingency money is for.”
When asked in a Castanet News interview about assistance to the wine and fruit sectors, Finance Minister Conroy replied, “We’re looking at what can we do to help them, because it is a significant issue. It’s an economic driver in the province, especially in the Okanagan.”
WGBC anticipates any specific industry funding will require Treasury Board approval and continues to work with Government for a favourable announcement as soon as possible. BC wine industry stakeholders are also asked to continue reaching out to local MLAs in asking for their support.
_______________________________________________________________________________________________________
UPDATE: CELEBRATE THE WINES OF BRITISH COLUMBIA Q3 REPORT
Celebrate the Wines of British Columbia provides a quarterly review of Wine Growers British Columbia (WGBC) activities, including marketing, communications, advocacy and more. This issue covers the third quarter (Q3) of Fiscal Year 2024 (FY24): October, November, and December of 2023, in support of the objectives laid out in the WGBC Operational Plan and Wine BC 2030 Long-Term Strategic Plan.
February 20, 2024 - BC WINE INDUSTRY GOVERNMENT ADVOCACY MEETING UPDATE
February 20, 2024
BC WINE INDUSTRY GOVERNMENT ADVOCACY MEETING UPDATE
Following on the February 7, 2024, meeting that included representatives from Wine Growers BC, BC Wine Grape Council and the BC Grapegrowers’ Association with Minister Pam Alexis, Ministry of Agriculture and Food and senior staff we are scheduled to meet next week to discuss further issues that industry has raised regarding the provincial Business Risk Management (BRM) programs. Specifically, AgriInsurance (AKA production or crop insurance), AgriStability, AgriInvest, and AgriRecovery are on the agenda to provide input for provincial and federal government discussions on support for the BC wine industry.
WGBC has identified several issues for discussion including:
AgriRecovery
In addition to replacement grape vine coverage provided by AgriInsurance, the wine grape sector incurs other extraordinary costs as an AgriRecovery initiative was announced in Ontario covered for wine grapes damaged by weather.
AgriStability
Clarity on program rules and guidelines including what percentage of purchased grapes will be allowed for a winery eligibility and a review of the methodology for valuing grapes and wine (both bulk wine & bottled wine).
Please take a minute to answer the BC Grapegrower’s Association online survey for insight on how existing Business Risk Management programs are meeting your needs. The deadline to complete the survey is February 23, 2024.
_________________________________________________________________________________________________________
BC WINE INDUSTRY TOWNHALL EVENTS
WGBC & BCWGC TOWNHALL – KELOWNA
Wednesday, February 21 – 9:30 AM to 11:30 AM
Summerhill Pyramid Winery, 4870 Chute Lake Rd, Kelowna, BC V1W 4M3
WGBC & BCWGC TOWNHALL – PENTICTON & VIRTUAL
Wednesday, February 21 – 2:00 PM to 4:00 PM
Penticton Lakeside Resort, 21 Lakeshore Dr W, Penticton, BC V2A 7M5
Virtual link for Penticton
WGBC & BCWGC TOWNHALL – OSOYOOS
Thursday, February 22 – 10:30 AM to 12:30 PM
Watermark Beach Resort, 15 Park Pl, Osoyoos, BC V0H 1V0
_________________________________________________________________________________________________________
UPDATE: WGBC BOARD OF DIRECTOR
Following on Christa Lee McWatters’ resignation the WGBC board has appointed Angela Lyons of Quails’ Gate Estate Winery (medium) interim representative on the board and until the September 2024 Annual General Meeting. While Angela unsuccessfully ran for a seat last year, the board looks forward to her contributions. Please join in welcoming Angela as well as thanking Christa Lee for her years on the board and as chair.
February 16, 2024 - INDUSTRY TOWNHALLS
February 16, 2024
INDUSTRY TOWNHALLS
As we look to the future, we are organizing a series of industry meetings and townhall sessions in order to share where we are currently at with our advocacy asks and also come together as a community to share concerns and come up with ideas on the best direction for our industry as a whole. Note, you do not need to be a member to attend, however, attendance will be restricted to industry attendees only to allow for candid and open discussion.
WGBC & BCWGC TOWNHALL – KELOWNA
Wednesday, February 21 – 9:30 AM to 11:30 AM
Summerhill Pyramid Winery, 4870 Chute Lake Rd, Kelowna, BC V1W 4M3
WGBC & BCWGC TOWNHALL – PENTICTON & VIRTUAL
Wednesday, February 21 – 1:30 PM to 3:30 PM
Penticton Lakeside Resort, 21 Lakeshore Dr W, Penticton, BC V2A 7M5
Virtual link for Penticton
WGBC & BCWGC TOWNHALL – OSOYOOS
Thursday, February 22 – 10:30 AM to 12:30 PM
Watermark Beach Resort, 15 Park Pl, Osoyoos, BC V0H 1V0
_______________________________________________________________________________________________________
WINERY OUTREACH PROGRAM
WGBC, BCWGC and BCGA are calling on all growers and wineries to engage their local MLAs and Members of Parliament to support association efforts in garnering both provincial and federal support for the survival of the BC wine industry. While we have all communicated the severity of the situation, we know that hearing the personal stories of grapegrowers, owners, winemakers, staff and even friends of the industry are key to all levels of government truly understanding how dire the reality is for our industry right now.
Our winery outreach toolkit includes key messages and letter templates.
February 9, 2024 - BC WINE INDUSTRY GOVERNMENT ADVOCACY MEETING UPDATE
February 9, 2024
BC WINE INDUSTRY GOVERNMENT ADVOCACY MEETING UPDATE
Earlier this week representatives from Wine Growers BC, BC Wine Grape Council and the BC Grapegrowers’ Association met with Minister Pam Alexis, Ministry of Agriculture and Food, Minister Lana Popham Minister of Tourism, Arts, Culture and Sport and senior staff. There was also an opportunity to briefly update Premier Eby on the status of our industry.
The presentations to both ministers included a summary from the Anticipated Impact of January 2024 Cold Event on BC Wine Industry Report that forecasts an anticipated result of catastrophic crop losses for BC wineries and independent grapegrowers. Preliminary industry-wide estimates are that the 2024 crop will produce just 1-3% of typical yields, resulting in anticipated losses to British Columbian businesses in and supported by the wine industry estimated to be between $440-445 million.
In the meeting with Minister Popham, the pre-COVID growth and impact of wine tourism on the provincial economy was highlighted. The slow COVID-19 recovery and recent wildfire impact on wine tourism led to an ask of the minster to commit to recognizing BC wine tourism as a strategic marketing priority fundamental to the provincial brand with funding levels to reflect. The minister and senior staff committed to conferring with Destination BC on prioritizing provincial wine tourism.
At the meeting with Minister Alexis an update on a wine grape specific multi-year replant program was requested, specifically what level of support can be reasonably expected for this and next fiscal year. Citing budget confidentiality, the minster was unable to provide detail noting the provincial budget 2024 is due to be released February 22, 2024. Also discussed was status of implementation of any new funding noting the Perennial Crop Renewal Program (PCRP) announced last spring while a welcome step, was unexpectedly restrictive, limited in scope, and underfunded. The ministry also confirmed PCRP Stream 3 funding can be allocated to BCWGC Resiliency Research as requested.
When asked on the status of negotiations with the federal government regarding Ag Recovery and Ag Stability programs the minister indicated she was meeting in Ottawa next week to discuss. Finally, it was agreed by all parties there needed to be more effort in working together in a transparent and vigorous fashion with a commitment to establish a working group with industry and the ministry led by the Deputy Minister to deal with the content, design and elements of a wholesome aid package.
____________________________________________________________________________________________________________________
MEETINGS & TOWNHALLS
As we look to the future, we are organizing a series of industry meetings and townhall sessions in order to share where we are currently at with our advocacy asks and also come together as a community to share concerns and come up with ideas on the best direction for our industry as a whole. Note, you do not need to be members to attend.
Note, we will have a virtual option for one of the townhall events. If you are interested in attending virtually, please email Lindsay Kelm at lkelm@winebc.com.
WGBC & BCWGC TOWNHALL – KELOWNA
Wednesday, February 21 – 9:30 AM to 11:30 AM
Summerhill Pyramid Winery
WGBC & BCWGC TOWNHALL – PENTICTON
Wednesday, February 21 – 1:30 PM to 3:30 PM
Penticton Lakeside Resort
WGBC & BCWGC TOWNHALL – OSOYOOS
Thursday, February 22 – 10:30 AM to 12:30 PM
Watermark Beach Resort
BCWGC MONTHLY R&D SERIES – VIRTUAL
Thursday, February 15 – 12:00 PM to 1:00 PM
Strategies for mitigating the impacts of cold damage, click here to register.
_____________________________________________________________________________________________________________________
WINERY OUTREACH PROGRAM
WGBC, BCWGC and BCGA are calling on all growers and wineries to engage their local MLAs and Members of Parliament to support association efforts in garnering both provincial and federal support for the survival of the BC wine industry. While we have all communicated the severity of the situation, we know that hearing the personal stories of grapegrowers, owners, winemakers, staff and even friends of the industry are key to all levels of government truly understanding how dire the reality is for our industry right now.
Our winery outreach toolkit includes key messages and letter templates.
January 25, 2024 - UPDATE: ALBERTA GAMING, LIQUOR AND CANNABIS (AGLC)
January 5, 2024
UPDATE: ALBERTA GAMING, LIQUOR AND CANNABIS (AGLC)
Yesterday WGBC followed up directly with concerns regarding AGLC notice that it was immediately blocking all wholesale shipments of wine into Alberta from Canadian producers, even if such shipments are totally legally compliant. WGBC pointed out the ALGC action does not reflect the administrative law principles relating to due process and fair dealing. They reference ‘tangible evidence’ of a breach of DTC Shipping laws by the recipient winery without providing factual particulars and did not provide for a hearing or an adjudication of the allegations.
Wine Growers Canada has also facilitated a legal opinion that includes the option of challenging the AGLC in Court with an immediate injunction to prevent them for taking any action to stop shipment of wine to Alberta. WGBC is looking further into the option weighing cost and timing considerations against a potential political remedy. We expect to have a better idea of how the BC government is prepared to assist following an upcoming meeting scheduled for next week with BC Solicitor General Franworth and senior staff.
UPDATE: BC WINE GROWERS INDEPENDENT DIRECTOR
A volunteer Board of Directors made up of nine full winery members governs the WGBC. Directors are nominated by member wineries of their same size category. I.e., three seats representing small, three representing medium, and three representing large full member wineries (size category based on annual reported BC LDB sales). Directors are then elected by WGBC all winery members at annual general meetings for three-year terms. There are also ex officio non-voting members also sit on the Board – an independent grapegrower (vacant), a non-industry representative (optional) and the WGBC President.
Recognizing the current turmoil and hardship facing the industry and to confirm balanced and equitable governance, WGBC has elected Al Hudec as the non-industry representative for an initial term until the 2024 AGM.
Currently a semi-retired mergers/acquisitions and governance lawyer and living in the South Okanagan, Al has spent a large part of his career advising boards and board committees on important transactions and looks forward to contributing to the effective and constructive functioning of the WGBC Board.
January 23, 2024 - UPDATE: ALBERTA GAMING, LIQUOR AND CANNABIS (AGLC)
January 19, 2024
SURVEY: BC LIQUOR DISTRIBUTION BRANCH (LDB)
Yesterday WGBC was made aware of Alberta Gaming, Liquor and Cannabis (AGLC) sending alcohol manufactures (wine, cider, etc.) across the country (BC, Ontario, etc.) a cease desist order for direct-to-consumer (DTC) sales and delivery in Alberta or risk access to their central warehouse.
Obviously, as the BC wine industry’s largest market outside, this development is of grave concern. As a result, Wine Growers British Columbia (WGBC) has engaged legal council for a written response to the AGLC on behalf of the industry and calling into question the validity of the action as it is in intervention with the New West Partnership Trade Agreement (NWPTA): an accord between the Governments of British Columbia, Alberta, Saskatchewan, and Manitoba that creates Canada’s largest, barrier-free, interprovincial market. The letter also includes other specifics including the lack of any current Alberta law creating DTC an offence applicable to BC manufacturers.
We are also in constant contact with Wine Growers Canada for a federal perspective and support if/when required.
Additionally, WGBC has been in direct contact BC Solicitor General Farnworth’s office so they are aware. We have been advised ministry senior staff will be meeting Monday to discuss the options that will look to put the matter to rest and avoid any BC counter measures and escalation.
In the meantime, as we monitor the situation, wineries determining how best to respond to the AGLC letter should seek legal advice to align with their risk tolerance.
January 19, 2024 - SURVEY: BC LIQUOR DISTRIBUTION BRANCH (LDB)
January 19, 2024
SURVEY: BC LIQUOR DISTRIBUTION BRANCH (LDB)
The LDB is undertaking a review of its manufacturer sales agreements, starting with wineries. The purpose of the review is to ensure the sales agreements (which outline the requirements, restrictions and many of the benefits for BC manufacturers selling liquor products within BC) continue to reflect current industry and market conditions and align with government policy objectives.
The LDB is inviting winery sales agreement holders to complete an online survey from January 15 to February 9, 2024. Winery sales agreement holders should have received a separate an email invite with the Survey Monkey link on Monday, January 15, 2024. If you did not receive this email, please check your junk folder, if you need it to be re-sent, or require more background information please contact the LDB via wineryagreementconsult@bcldb.com.
WGBC continues to advocate for sales agreement changes that allow for the sale, transfer, etc. of certified 100% BC wine between agreement holders and for the equal treatment (i.e., direct sale & direct delivery access) for all certified 100% BC wine under either agreement. WGBC contends these changes can be expedited through minor changes to the existing agreements and provide industry with needed flexibility to help mitigate current and anticipated supply and demand disruptions.
INPUT: WINE CLOSURES AND TAMPER EVIDENCE STANDARDS REVIEW
Liquor jurisdictions across Canada currently follow the Canadian Association of Liquor Jurisdictions (CALJ)’s Standards for Tamper Evidence. In response to increasing interest by producers in selling sparkling wine without capsules, the Canadian Association of Liquor Jurisdictions (CALJ)’s National Quality Assurance Committee (NQAC) has created a Tamper Evidence Standards Working Group to review the current standard, and any potential amends.
The working group is open to slight amends to this standard to facilitate those producers interested in the ability to sell sparkling wine with simply a cork, metallic disc on top of the cork and a wire cage (muselet) to liquor boards. Under consideration is language to indicate the removal of a foil is permitted, provided that the absence of foil continues to avoid unintentional opening. Specific guidance is also being considered, permitting the ability to sell sparkling wine with simply a cork, metallic disc on top of the cork and a wire cage (muselet) to liquor boards, but only where both the cork and the metallic disc are branded.
If you have produced sparkling wine without a traditional foil overwrap, or are interested in doing so, please provide any feedback by February 5, 2024 to caroline@wgcanada.ca.
UPDATE: EU LABELLING REMINDER
Wine Growers Canada (WGC) would like to share a reminder of an important change that applies to wine produced and labelled on or after December 8, 2023, so will start to apply to the next vintage in most cases here in Canada: the EU’s new labelling requirements. The new EU rules introduce a compulsory nutrition declaration, energy value and list of ingredients for wine products sold in the EU market, for all wine produced and labelled on or after December 8, 2023. For wineries that opt to use an electronic label, energy value per 100mL and any substances causing allergies or intolerances remain mandatory. The WGC briefing note on this change can be accessed here.
Global Affairs Canada and WGC have been working to ensure as smooth a transition as possible for our producers as this new requirement is implemented. While the EU regulation set out the requirement for the product’s list of ingredients to also appear on the VI-1 Form, Canada has now been assured that this requirement will not be in place for Canadian bottled wine imported into the EU, by virtue of the pre-existing obligations contained in the Canada-EU Agreement on the Trade of Wines and Spirit Drinks. Canadian wineries do not therefore have to list the product for export’s list of ingredients in Box 6 of the VI-1 Form for bottled wine exports. Rather, this would only be required for Canadian wine imported into the EU in bulk.
SOCIAL RESPONSIBILITY
Members of the WGBC are proud of their wines and are committed to ensuring their wines are promoted and enjoyed responsibly by those adults who choose to consume them for the continued enjoyment and prosperity of the BC wine industry.
Learn what is the right amount for you at therightamount.ca
Learn what is the right amount for you at therightamount.ca
